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Housing Bubble/Crash

“This is more exciting than a mutual fund,” Boome said. “It feels safer too. You buy a piece of dirt, you feel you’ll always have a piece of dirt.”

[. . .] They’re cashing in retirement funds, selling stock and taking out second mortgages. They’re pouring the money into real estate, often in distant states, often without seeing the property.

“Markets are ruled by either fear or greed,” said Robert Campbell, a San Diego investor who has written a book on timing the real estate market. “At the moment, it’s all about greed. Huge numbers of people are buying in at very high prices.”

Economists have been wondering for at least a year if real estate is in a manic phase that will end unhappily.